We recognize depreciation expense on a straight-line basis over the estimated useful life of the asset as follows:
Buildings
Up to 40 years
Building/leasehold improvements
Up to 40 years or if shorter, term of lease
Machinery and equipment
3 to 15 years
Finance lease right-of-use (ROU) assets
Lesser of the lease term and the useful life of the leased asset
PP&E are comprised of the following:
December 31
20252024
Land$32.9 $32.9 
Buildings including improvements543.8 488.7 
Machinery and equipment
954.3 912.5 
Finance lease ROU assets99.7 98.1 
$1,630.7 $1,532.2 
Less: accumulated depreciation
(1,044.7)(995.0)
PP&E, net
$586.0 $537.2 

About PP&E Disclosures

The PP&E disclosure details a company's physical asset base — land, buildings, machinery, and equipment — along with the depreciation methods and useful life assumptions that determine how these costs flow through the income statement. Capitalization policy thresholds reveal management's judgment on the boundary between expense and asset, directly affecting both reported earnings and asset values.

Key signals: changes in estimated useful lives or depreciation methods can materially shift reported earnings without any operational change. Compare capital expenditures against depreciation expense — when capex consistently trails depreciation, the asset base may be aging and underinvested. Watch for large asset impairments or write-downs that signal overvalued carrying amounts. Asset retirement obligations reveal future environmental or decommissioning costs that are often underappreciated. Compare PP&E intensity (PP&E-to-revenue) against industry peers to assess capital efficiency and competitive positioning.